Viewpoint: Bullish
Of the 3 stocks looked at today chemical and fertiliser company IPL is discussed the most but as the global demand for food grows sending prices skyrocketing in the process the backdrop for businesses like IPL is solid. The stocks already run reasonably hard through 2021 but we can comfortably see another 20% upside if stocks enjoy another strong Christmas Rally.
Packaging company ORA’s shares were smacked over 30% in August following its full-year result which saw earnings per share (EPS) rise 29% to 16.9c but the problem was weakness in its glass segment due to reduced volumes into China. Like many companies of late, exposure to China has been a headwind on its share price, a very different tale to 5-10 years…
Industrial products manufacturer GUD sprang back to life in October following a trading update which included confirmation that demand for its products, which include aftermarket auto parts & water products had remained firm through COVID lockdowns. The stocks trading on a reasonable valuation and its reliable yield of more than 5% fully franked…
We mentioned AMP earlier which we feel could surprise on the upside into 2022 but it’s definitely not sitting in the “rarely discussed” corner whereas the 3 stocks we’ve considered today most definitely are and a quick look at their Google Search Ranking, or number of appearances in the AFR, confirms the fact. As subscribers know global equities are…
The US small caps finally broke out of their 7-month trading range following the Feds statement, we always thought it was just a matter of time and the removal of the policy uncertainty looks to have been the necessary catalyst. We can easily envisage an ongoing 5-10% advance which is excellent news for the highly correlated ASX.
Overnight US stocks extended their strong rally from their October lows, so far it’s been 9% in just 5-weeks heralding another victory for the believers in “buy the dip” through 2021. Following the Feds statement markets have moved back to full steam ahead towards the “risk on” theme, the trends clearly up and fighting this trend makes zero sense at this point in time.
As we touched on earlier FMG has continued to trade around the $14 area while iron ore plunged to new 2021 lows, a sector under pressure would have embraced the weakness in a more emphatic manner – we feel the next $2-3 move for FMG is up, a decent move from $14. However as we have discussed a few times over recent weeks our preference…
The ASX200 again surrendered early gains on Tuesday and we ended the day down 0.6% with around 65% of stocks closing in negative territory, not a good Melbourne Cup for Australian equities. The value stocks were the standout losers as the market continued to worry about rising interest rates stifling global growth i.e. Financials -1.3%, Energy…
Overnight US stocks experienced a mixed performance as tech stocks hovered around their all-time highs while the small caps finally started to play some catch up.
Technology business CDA focuses on areas such as radio communications, metals detection and tracking solutions, unfortunately it’s almost halved from its 2021 high as the stocks valuation appeared to get ahead of the actual outlook.
